Lower Your Car Insurance Rates & Cut Insurance Premiums In Half

by Millie Kay G. on 2012-03-1253

How can we cut our auto insurance premiums in half? Here are a few tips to lower your car insurance rates.

Even if you already have insurance coverage, it’s still always a good idea to review your car insurance needs and compare rates from time to time, as even a cursory check of quotes from various sources on occasion can keep you proactive about some aspects of your finances. Comparison shopping is often the best way to find the best rates from any source. Here’s how I’ve checked and compared quotes using online insurance sites:

Cut Auto Insurance Premiums In Half: Shop Around!

So where can we get quotes? Here’s my list:


Esurance: My first stop was at Esurance, whose focus has been on auto insurance, though they’re now covering other types of insurance products as well. Check to see if the company serves your part of the country; if they’re unable to help you, they’ll point you to someone who can (their affiliates). For those areas they do serve, you’ll get a quote in 6 minutes. They’ve received several honors for excellent web usability, web consumer experience, technical innovation, long term service and support, and corporate equality. They’ve also got some customer centric tools such as RepairView, a way to track your auto repairs online or via a smartphone, and “Coverage Counselor”, which helps you determine the amount of coverage you need via a series of questions.


21st Century: Another place I tried was 21st Century Insurance. This free service starts off by asking for your zip code, after which they ask you a series of questions. 21st Century sends your information to agents located closest to your zip code, while in turn sending you a list of these providers within minutes. You are then put in touch with these agents who can assist you via email, fax or phone. You can also try their Auto Coverage Advisor tool (like Esurance’s “Coverage Counselor” tool) to give you some preliminary idea of the level and kind of coverage to pick up. In addition to auto insurance, 21st Century can also provide you with leads and quotes for other forms of insurance, such as home, renters, umbrella, and life insurance.


Allstate: My car insurance is actually with Allstate, which has given me affordable coverage thanks to 30 available discounts and the ability to save money by bundling all my policies under one insurer. Some of the actual discounts that can cut your insurance premium costs include the safe driver discount (you can save 45% or more by avoiding accidents) and their early signing discount of up to 10% off. The Allstate safe driver discount is a great monetary incentive since the insurer will pay you a “Safe Driving Bonus Check” two times a year for each year that you remain accident-free.


InsureMe: I also took a look at InsureMe, which pools together a list of insurers who can provide quotes. This is an online insurance site on top of other online insurance sites that’s in the business of aggregating information across the insurance industry and helping you with quote and rate comparisons. For my needs, InsureMe has listed insurers such as Geico, Progressive, Liberty Mutual and others.


Kanetix: Then there’s Kanetix.com, which is yet another portal that allows you to retrieve and compare insurance quotes from a variety of insurance companies, which is their selling point. They’re like a classifieds directory, since through them, you’ll be able to receive leads from agents offering various forms of insurance (such as life, property, health and travel insurance), so you can look into coverage that’s beyond just auto insurance.


US Insurance Online: For another site that gives you many options, check out US Insurance Online. After filling up a form and supplying some general information about your vehicles, you’ll be sent free quotes that match your needs.

12 Helpful Tips To Lower Your Car Insurance Rates

Now that we’ve presented you with some leads on resources, how about taking a look at some general tips for lowering your auto insurance rates? What can you do to keep your rates low? In my case, as part of my plan to try to live on a leaner budget, I’ve decided to look into ways to try to economize on insurance. One thing I wouldn’t recommend is to skip on the insurance altogether, since your assets (home, investments, savings) can be placed at risk if you ever get into an accident where you incur a lot of damage.

Here are a few ideas for keeping your car insurance rates down:

1. Ask for a multiple car discount. Since we have more than one vehicle, this is something I can request from my insurer. In my neighborhood, boats are popular — can the insurer who takes care of your other insurance needs handle your cars as well? Talk to the agent who handles your home or renter’s insurance, too. They might be happy to give you a discount for the additional business.

2. Raise deductibles if it makes sense. The kind and amount of auto insurance coverage you want will affect your rates. A simple and reliable way to decrease your auto coverage premium is to increase the deductible amount you’re prepared to pay in case you figure in an accident. However, you should also make sure you talk to an industry professional before you take this step, since it could also seriously cut into the reimbursement amount you’re eligible for, particularly in the case of minor repairs. At any rate, with higher deductibles, I pay less in premiums, which I can put towards my savings instead.

3. Drop extra coverage that you can live without. If I wanted to, I could increase or decrease coverage depending on my situation. I’m reviewing to see how much collision, comprehensive and uninsured motorists’ coverage I should carry. I picked up a few interesting suggestions from eHow that tell us when it may be acceptable to drop collision insurance:

  • For cars that are 5 years or older.
  • If the annual fee for the coverage is 10% or more of your vehicle’s value.
  • If you no longer have an outstanding loan.
  • If you are a safe driver.
  • If you have enough money to cover repairs.

Since I drive an older vehicle, it doesn’t make sense for me to have top of the line coverage. With an older car, I aim to just bank the money I would have paid the insurance company for any extra coverage. If I lower my coverage limits, I can put the extra savings elsewhere and come out ahead.

4. Know your liability limits for your state. Weigh your risks for lowering your auto insurance coverage to the minimum required by your state. Your profession, assets, age and driving record can affect this decision.

5. Maintain good credit. If you’re shopping for car insurance, the car insurance quote services will most likely ask you to assess your credit rating — a sign that those with bad credit will earn higher quotes.

lower car insurance rates, auto insurance premiumsPhoto by MarkOMeara

6. Maintain a good driving record. Getting into an accident is one of the most obvious ways to drive up your car insurance rates. But an alarming number of drivers continue to drive dangerously, increasing their odds of being involved in a collision ten-fold. While drunk-driving is a classic example of a dangerous practice that results in avoidable accidents, an even larger proportion of U.S. motorists continue to take huge risks by using their cell phones while driving. Numerous studies have demonstrated that thousands of accidents are caused each year by drivers who are distracted while driving and texting. If you’ve received tickets or been involved in accidents, then your rates will be negatively affected. By having a clean record, you’re premiums are kept favorable.

7. Maintain your vehicle regularly. Keeping your car in good condition is the key to another potential way to save money on your monthly car insurance payment. Keeping your vehicle in good shape and staying on top of any minor problems can go a long way toward heading off more serious problems down the road. And, since a sudden breakdown can easily startle a driver — possibly even cause a crash — you should consider regular maintenance an important factor in keeping your auto insurance costs down.

8. Reduce your drive time. Simply staying off the road is another possible way to save some money on your auto insurance. Some insurers offer discount programs to drivers who meet certain qualifications and put less than a set amount of miles on their cars per year. For instance, if you live within a relatively short distance from your work (meaning shorter commute time, and therefore, less time on the road), most insurance companies will offer a discount. The rationale is that drivers who aren’t on the road as much have a much smaller chance of getting into an accident, and thus, needing to make an accident claim.

9. Install monitoring equipment.
Some auto insurance companies offer discounts just for placing special monitoring equipment in your car. The equipment records your travel information and allows the insurer to verify that you are driving as safely as possible. If you meet the criteria (i.e., no sudden stops, extreme acceleration, or excessively sharp turns), the data they collect may qualify you for a reduced rate on your insurance coverage, since your habits behind the wheel fall within acceptable safety guidelines.

10. Partake of customer loyalty discounts.
Most auto insurance companies nowadays will also offer you discounts just for sticking with them for a length of time and being a safe driver. So when you find a good insurance company that offers reliable service and good rates, just be loyal and you may see your rates decrease with time.

11. Sniff out unidentified discounts.
Make sure you ask questions and do your research. Auto insurance companies maintain their competitive edge by offering discounts for all sorts of things. You can get discounts for being in college, for having graduated college, for being a veteran, and even for being married. You’ll get discounts for being older as well. Some companies won’t readily offer these discounts until you ask the right questions or make it known that you are shopping around though. So read up on everything these companies offer before making your decision.

12. Shop around. It’s something we emphasized above: as with almost any other purchase you make in life, shopping around and gathering estimates from several local auto insurance providers can save you hundreds of dollars a year! Some auto insurance companies will now give you quotes for several competing auto insurance companies. Even so, sometimes it is better to do your own research. The last time I bought car insurance, I was able to get a lower quote from my insurance company just by talking to the sales people and telling them that another company was offering me a lower rate.

What else affects the rates? Do you carpool, share the vehicle with your spouse, let a teenager use your vehicle, or commute a long distance? Some questions asked by insurance quote services may refer to your use of anti-theft devices — if you have any, you’re bound to get better rates.

So whether you’ve decided to buy your car online or from a dealership, you’ll need to brace yourself for more car related expenses. As a car owner, you’ll have to think about another purchase: insurance! It’s completely understandable that many American consumers are looking everywhere for ways to save money — and the family car is often the first place they look to make budget cuts. Thus, beyond simply driving less, know that you can save money in another automotive area — car insurance — by applying the tips we’ve shared here.

Created February 13, 2009. Updated March 12, 2012. Copyright © 2012 The Digerati Life. All Rights Reserved.

{ 53 comments… read them below or add one }

The Weakonomist February 13, 2009 at 9:42 pm

The first tip is key. Get all your insurance from the same place and you’ll get big discounts. Also make sure your quotes don’t include discounts that will expire. I had a great rate on my car but was never told it would expire after a year. Now I pay 25% more, which doesn’t include my jackass state’s recent required increase. But that is another story.

fischer February 14, 2009 at 12:08 am

How about “doing away with the car and opting for mass transportation.” This was lifted from your Best Frugality Advice (April 3, 2007). If the transit system in your area offers monthly passes, get one because they are worth it. I saved more than fifty percent off my regular fare with a monthly pass. Plan your trips and check the route schedules which are available online. Better still, get copies of the transit schedules which are given out for free on the train or bus. Just spend a few minutes studying these schedules and you will discover that you can go practically any place worth going to using public transportation. If you need to walk from the stop to your destination, then by all means, WALK! It’s good exercise which your body needs. You can save a lot by just simplifying your life. I have.

Silicon Valley Blogger February 14, 2009 at 1:24 am

Thanks Fischer,

I agree that mass transportation is a frugal option that we should all strongly consider. Personally, I live in the middle of nowhere (pretty much) and have no recourse but to own a car. I also don’t venture to places that have mass transportation either so I don’t have much of a choice.

Doing away with a car is a good thing if it’s feasible — but it’s not applicable for everyone; it’s just not practical or even doable. So this advice won’t apply to those who live in a bedroom community 2 hours away from the city (it’s likely that you can only use mass transportation for part of your commute, so you’ll still need your car around). But definitely, for those who live in more suburban, developed and urban areas with built-in bus and train routes, I would highly recommend public transportation for the frugal-minded.

fischer February 14, 2009 at 10:37 am

Thank you SVB for your comments. Honestly, I was expecting a comment like yours. I agree we can’t totally do away with a car. In fact, I’ve a car myself which my wife uses more for stuff like taking the kids to school which is less than five minutes away, doing groceries, etc.

So how does this make my advice relevant? Your article is about cutting insurance premium costs. If I avail of mass transportation yet I still have a car, then am I not still paying the same insurance costs incurred by those who bring their car with them to work and everywhere else, right? WRONG! Or should I say, NOT NECESSARILY! My insurer charges lower premiums if you don’t actually use your vehicle beyond a certain radius from your home regularly. Stated otherwise, if you regularly use your car only say, within a 2 to 3 mile radius from your home (technically, from where it is regularly parked), you pay a lower rate as against another car whose owner uses it everyday to drive to work located 20 miles away from home.

In your case, I am pretty sure that from “in the middle of nowhere” where you live, there should be a mass transit terminal less than 5 miles away. So you can either ask your spouse to drive you to the terminal or you can park at the terminal and take the train or bus to work. So you incur less expenses for transportation and you get a reduced premium.

I hope this was helpful. Today, however, is Valentine’s Day. Happy Valentine’s Day to you. I am taking my family in our car, not mass transit, to the City and we are going to walk by the Bay. Then we are having lunch in a fancy but inexpensive (yes, you can find them fancy ones that don’t cost much) resto. This is a tradition in our family every Valentine’s Day.

Silicon Valley Blogger February 14, 2009 at 11:53 am


Your thoughts are much appreciated, and are very helpful, indeed! We can all certainly make adjustments along the lines of what you said (and if we all did, we’d also be saving the environment!). In my case, I’ve truly cut down on transportation costs for the most part by quitting my job altogether and limiting my trips to within a few minutes of where I live.

Gosh, having had to commute 3 hours a day to the city and back took a toll beyond the gasoline costs, stratospheric parking fees, car wear and tear and what not. That lifestyle change in itself was worth thousands of dollars saved in health care costs (in my situation). So yes, making adjustments — big ones or not — can make a difference to the bottom line.

Thanks for your tips and suggestions! Enjoy the day with your family. 🙂

Miss M February 14, 2009 at 12:15 pm

I once got a discount because of my career, I had to fax a copy of my diploma and they dropped my rates. You should ask around about professional discounts or discounts offered to organizations you belong to.

Lee February 14, 2009 at 7:13 pm

I’d like to emphasize raising your deductible. Normally if you raise your deductible from $250 to something like $1,000, it is much cheaper…

Lee February 14, 2009 at 7:18 pm

I think you meant lower your coverage limits. Then you can make it cheaper by raising your deductible. Sorry if I misunderstand what you’re trying to say.

Silicon Valley Blogger February 14, 2009 at 7:29 pm


Yes you are right. Thanks for the correction — I’ve made the appropriate modification! Thank you so much for pointing out the stuff that needed clarification. I really appreciate it when a reader catches my goof 🙂 .

Kristy @ Master Your Card February 15, 2009 at 9:59 pm

Age and gender play a role in insurance as well, though there’s not much you can do to change that. My insurance premiums dropped significantly when I turned 25.

I can certainly vouch for the bad credit affecting your premiums. Many years ago when I had terrible credit, the insurance company jacked my rate up by double what I was initially paying. Unfortunately, calling around to find lower rates turned out to be futile as my bad credit had everyone pretty much offering the same thing. Just one more reason to clean house and straighten out your finances.

Credit Chimp - Personal Finance Tools February 16, 2009 at 4:09 am

One of the best ways to lower your car insurance rate is to turn 25. You tend to get what you pay for though, I was in several car accidents between the ages of 18 and 24. I haven’t had any since. I guess the insurance companies knew what they were doing.

Start-Up February 17, 2009 at 1:31 pm

I turn 25 in three days and am looking forward to the insurance break that is coming my way. I will be moving off my parents insurance bundle and onto my own. I should do pretty well being 25 with no accidents and a heated garage. Should be interesting, I will definitely be referencing those sites you mentioned. Thanks!

araba February 26, 2009 at 4:18 pm

once got a discount because of my career, I had to fax a copy of my diploma and they dropped my rates. You should ask around about professional discounts or discounts offered to organizations you belong to.

Carol March 3, 2009 at 7:44 pm

I’m sorry, but I have to strongly disagree. I would never go with less than a $500,000 personal auto liability limit. This is for two reasons. First, if I do manage to do some serious damage to someone, I want it covered. It’s unlikely, but I see the claims and I know it happens, and sometimes the wrong person is held at fault. But way, way, way bigger is, you can’t buy more uninsured motorists coverage than you buy in liability. Keep in mind that UNinsured motorists coverage usually includes UNDERinsured motorists coverage. If you are the innocent bystander in an accident and you get hit by some bozo with no insurance, or some fool with minimum limits, you will deeply regret not having purchased more coverage.

You can depend on your medical insurance (assuming you have some) to pay medical expenses, subject to the usual deductibles and co-pays, but your medical insurance is not going to cover your pain and suffering, or expenses if you were hurt badly enough to need to modify your home. Your medical insurance is not going to pay your lost wages while you are out of work.

Yes, I work in insurance, but I make no money at all from personal insurance. Fortunately, I do not speak from my own experience, but from that of others including one man who was T-boned in an intersection by a little old man who had a little old policy with minimum limits – $10,000 per person/$20,000 per accident. As you can well imagine, the $10,000 this man got from the little old man barely covered the surgeon’s fee for the neck operation that was eventually necessary.

I understand the need to save money these days, but I don’t think skimping on insurance is the way to go. Just think about how many other people are making that decision, or how many people are going bare.

Rob March 18, 2009 at 9:33 am

Let your car insurance company know if you have an excellent credit rating.
Often times they will use this as leverage for raising your rates, even if your credit rating is excellent. If they know that you are aware of your exact credit rating, they are less likely to try this.

See, Top-10 Car Insurance Ratings at Product Review Ratings, if you are shopping for the first time or looking for a new provider. Interesting list.

Karen Walter April 4, 2009 at 10:04 pm

Two out of ten drivers in the State of Texas do not have car insurance coverage. Imagine how it will be if you happen to be one of those conscientious drivers who gets his or her car hit by one of these irresponsible drivers. You would be considered fortunate if you got out of it unscathed. But what if there were serious bodily injuries and considerable damages to your property? Would it not be reassuring if the other party involved in the car crash be able to pay you back? But the unfortunate fact is that car insurance laws are still ignored. It is for this reason that the Lone Star State has devised laws to punish offenders severely.
Karen Walter
Thanks for help, I recommend your site to friends often…no one told me about raising my deductible would save me so much money. Thanks!

AZ May 9, 2009 at 9:48 pm

Excellent coverage of insurance needs. Multi-car discounts can be a major savings.

Joe May 13, 2009 at 1:20 pm

You’re insights regarding this topic are right on. There are a handful of websites and companies that provide accurate quotes to individuals who want to save money on their auto insurance premiums. Keep up the great work educating consumers with tips on how to save money!

Insurance Gal August 23, 2009 at 12:58 pm

I run an insurance business from a home office and was able to ditch the car for a year now. Between insurance savings, gas, and maintenance, it is a big financial boost. Also makes you realize what your priorities in life are. Sometimes, visiting distant places at the drop of the hat is one of them. I miss that.


Agent @ BMW Insurance September 9, 2009 at 9:37 pm

Having followed many of these tips (particularly the multiple car method) when getting car insurance, I’ll tell everyone reading this one thing — they work! Car insurance is an expensive thing, but there are ways to save. Take advantage of them.

Car Insurance Guru September 17, 2009 at 1:47 pm

If you are concerned with changing your insurance company, you could always shop around and then ask you agent to match the price.

CIO September 19, 2009 at 3:26 am

I like what the first commentator (The Weakonomist said). I purchased insurance from the same company (home, life, car) and save lots of money in turn. It also makes managing things much easier. You’re dealing with one company, instead of 3 or 4.

Couch Surf October 19, 2009 at 2:32 pm

Buying car insurance isn’t the same for everyone. While you do offer some good general guidelines each person will have different financial needs and should not be given strict cookie cutter coverage.

Trafficero December 2, 2009 at 8:35 pm

Another way you can reduce auto insurance rates is by taking traffic school online or defensive driving online. I just took one at a traffic school and my points dropped by two.

Kristina19 December 16, 2009 at 9:46 am

NetQuote is really a good choice for insurance!

Honda City January 15, 2010 at 12:36 pm

You’ll have to pay a higher premium if you’re under 25, newbies and teens tend to get into accidents more often. If you were to have a bad record, your insurance premium will increase! Drive carefully!

Purves Brothers January 25, 2010 at 10:18 am

The best thing you can do is to use the services of an independent insurance agent. They will shop the top carriers to find you the lowest prices. So — as insurance companies compete for your business — the prices drop. Good luck!

Bobby February 20, 2010 at 5:29 am

I’ve always insured my car, because it’s important. We need to insure our things. We never know what will happen.

ביטוח רכב February 25, 2010 at 9:08 am

By going to traffic school I have been able to save a cool $100!

Ryan March 15, 2010 at 4:46 pm

One way to save money is by not having a car loan and not needing all the extra insurance to cover the car if its totaled. Many times you can get insurance prices that are less when you drive an inexpensive car.

TMarts May 14, 2010 at 11:49 am

I agree that mass transportation is really a frugal option that we must all strongly consider. Personally, I live in the middle of nowhere (fairly much) and have no recourse but to own my own auto. I also really don’t venture to locations that have mass transportation either so I really do not have much of an alternative.

RVall May 31, 2010 at 8:59 am

I regret that I only found this article now. Just recently, I bought my first car and this info could have saved me a lot of money.

Jake Maxwell August 12, 2010 at 1:58 pm

One thing to consider when shopping around for car insurance is rental coverage. Many people will leave it off thinking that it saves them a lot of money, but in reality it is not that much and if you are ever in an accident where you lose the use of your car, it will be a life saver.

Generally, for only a dollar or two extra each month, you can add coverage for rental car reimbursement, which provides a rental car for little or no money while your car is in the repair shop or if it is stolen. Check your policy or with your agent for specifics.

Dora Jones September 28, 2010 at 7:06 am

A very informative guide. This will help people know the coverage of their insurance policies whether it be personal or company. This will also help them save money, which insurance companies don’t necessarily want you to do.

Cool post.

Kamlesh October 7, 2010 at 7:16 pm

It is true that you need to compare auto insurance and it pays to go online and compare insurance. This is true for all age groups, even for seniors and teenagers. The car is another factor, which determines and influences how much car insurance you’ll be paying. Thanks for your informative article.

Sam Davies October 16, 2010 at 7:43 pm

Purchasing car insurance is a mine field, especially for the under-30’s. Buying an older model, smaller engine car in addition to taking additional road tests can substantially reduce premiums.

Sandy @ yesiamcheap November 23, 2010 at 6:14 pm

One more. If you don’t use your car to commute and instead use it for pleasure then I think it also lowers your premiums.

Michelle November 25, 2010 at 7:06 pm

Also, you can save by combining multiple vehicles, life insurance, and/or home insurance.

Silicon Valley Blogger November 26, 2010 at 7:09 pm

That’s what I’ve done with Allstate and it has saved me a ton. Thanks for your tip!

Mike November 28, 2010 at 8:10 pm

Great points. My insurance company gives me a discount for the years I have been with them. I also recently found out that your credit report and score also plays a part in the rate you pay for car insurance. My wife’s score was lower and she is being charged more for insurance even with a clean driving record.

Stefan February 7, 2011 at 2:42 pm

I just set a yearly reminder for myself in my calendar to go to a car insurance comparison website and see what is the cheapest then.

Nowadays, switching insurance providers is a piece of cake with minimal effort.

Alex March 1, 2011 at 8:34 pm

Thank you for this information. We recently bought a car and have to shell out so much money in car insurance. Perhaps I should go back to my insurer and see if we can combine it with our life insurance.

Daniel April 5, 2011 at 12:45 pm

Love the picture of the kid on the driver’s seat! If more people would drive more cautiously, it would cut down on accidents 😉 .

Kosmo @ The Soap Boxers March 13, 2012 at 8:08 am

“4. Know your liability limits for your state. Weigh your risks for lowering your auto insurance coverage to the minimum required by your state. Your profession, assets, age and driving record can affect this decision. ”

I’d exercise some caution with this one. If you cause a major accident and have a low amount of liability coverage, your personal assets could be at risk. For example, if you cause $500,000 of damage (cause a severe injury that takes a lot of rehab) and have $100K of liability coverage, the victim can come after you for the excess (400K). Also, there is a diminishing cost as the amount of coverage increases. 500K coverage doesn’t cost twice as much as a 250K policy. This is partly because there’s some overhead that’s the same regardless of the amount, but also because the risk of causing 500K of damage is far less than causing 250K in damage.

Tom Frances March 13, 2012 at 10:21 am

All great tips, I like combining policies, raising deductibles and always shop around. I think the greatest changes taking place with car insurance relate to tips #8 (Mileage) and #9 (Use of Equipment). There is growing trend where many car insurance companies are adopting usage based car insurance where car insurance turns from a fixed based expense into a variable one. Progressive is an example with their Snapshot program, where they track your mileage, braking patterns and the time of day you are driving. If you are looking to make car insurance a variable based expense, and save on your gas bill, lowering mileage is a great way to save.

Jeff Crews March 17, 2012 at 2:55 pm

Comparing car insurance is a great way to save. All the companies want your money, and they will do some interesting things to get your business. Don’t rush into something. Wait and the right price/insurance option will come!

Paul Lee March 19, 2012 at 8:55 pm

The title of this article is “HOW TO CUT INSURANCE PREMIUMS IN HALF” is a lie. It should be titled “HOW TO REDUCE YOUR INSURANCE” not CUT IN HALF…. After reading this, it yields no valuable information. The bottom line is still the same old phrase “SHOP AROUND….SHOP AROUND……and more….SHOP AROUND……”

Silicon Valley Blogger March 19, 2012 at 9:20 pm

Thanks for sharing your passionate sentiments and for your honest feedback!

Jon March 20, 2012 at 11:13 am

I love the ability to raise your deductible. You can always put a little cash aside at a time and when you get to $500, raise the deductible. When you save up to $1000, then raise the deductible. Such a great way to do it.

Tim Carbone March 25, 2012 at 4:02 pm

In my view I believe the above tips can quite easily cut your premiums in more than half. For point #8, reduce your drive time, GMAC claims savings of 50%, Progressive 30% and many of the other usage based programs that reward on mileage offer similar savings. When you add other savings, like reducing deductibles, maintaining good credit and shopping around, the savings can easily go above 50%.

Melissa April 1, 2012 at 4:33 pm

Always check about associations. For example, I joined an honor society in college – once you are a member, you are a member for life! I am able to get discounts on my auto insurance because of that with a certain company. Also, our bank partners with an insurance company to offer discounts through them. So that is definitely one thing to check out. I never would have guessed that our bank would have offered discounts, but they do, so check organizations and associations you belong to.

Denise July 10, 2012 at 9:36 am

GREAT ARTICLE! I have personally increased my deductible over the years & now I am ready to consider lowering certain coverage limits that are not necessary. DON’T be afraid to talk to your agent about EVERYTHING! I had mentioned to my agent that my husband had recently passed away & I received a discount for that?! You can get a discount for just about anything these day’s. Do your research! & drive safe!

Simon November 29, 2012 at 10:33 pm

Great post, I really do think insurance costs are only going to increase over the next few years, especially for young drivers.

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